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City remains ahead of 2019 pace

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  • City remains ahead of 2019 pace

The month of April essentially served as the calm before the storm for local cities, providing a glimpse of local sales tax revenue collections before the full impact of COVID-19 related shutdowns have been fully felt.

In a press release announcing April 2020 figures, Texas State Comptroller Glenn Hegar stated that his office would send, “cities, counties, transit systems and special purpose taxing districts $701.8 million in local sales tax allocations for April, 0.5 percent less than in April 2019. These allocations are based on sales made in February by businesses that report tax monthly.”

Hegar added, “Next month’s allocations, which will mostly reflect sales made in March, will begin to show the impact of pandemic-related business shutdowns. The agency, therefore, expects local allocations in May to be lower, and June allocations will likely deteriorate further.”

The city of Wills Point was the largest local gainer in positive dollar change, seeing collections climb from $93,314.68 in April 2019 up to $102,678.01 for the same calendar month in 2020.

Edgewood, the county’s runner-up in largest positive percentage change in March, posted similarly strong numbers in April with collections climbing 16.87 percent up to $29,256.82.

For the second consecutive month the city of Fruitvale took the crown as the largest local gainer in terms of percentage change with collections increasing 17.61 percent from $2,277.67 up to $2,678.72 for the month.

Edom also received solid news from the comptroller’s office by posting its third consecutive month of gains. In April 2019, Edom received a payment of $1,126.75. Those numbers rose 8.46 percent in April 2020 with the city receiving a payment of $1,222.10.

On the flipside of the ledger, the city of Grand Saline endured a rocky month with collection totals dipping 30.44 percent down to $42,098.90 when comparing April 2019 against April 2020.

Similarly, Van saw its sales tax revenue totals decrease 11.21 percent down to $63,505.47 for the month.

Canton, which traditionally posts either the largest gains or drops in monthly collections, narrowly found itself in the negative side of the ledger for the month by receiving a payment of $270,406.35. That figure was a modest 4.91 percent less than the city received during the same period in 2019.

For the month, the seven local county cities saw sales tax totals drop by a a combined $26,312.85 or 4.89 percent.

Yearly collection totals

Wills Point, up $57,470.62, Canton, up $53,743.29, Edgewood, up $15,670.25, Fruitvale, up $4,042.62, and Edom, up $1,688.19, all remain ahead of their 2019 pace through the first four months of the year. On the flipside, Grand Saline, down $30,626.22, and Van, down $8,781.10, both trail their 2019 pace through the first third of the year.

Despite the down month, county cities are currently up a combined $93,207.65 or 4.11 in year-to-date collection totals.